In View

Key fundamentals in the hotel sector reached a
plateau near the end of 2017, with the new supply
and demand for rooms nearly exactly balanced,
according to real estate services company CBRE.

The projected room-occupancy rate in 2017 of
nearly 66 percent nationwide represents a new
peak, the company said. Room rates and revenues
are projected to continue to grow, but at a slower
pace than earlier in the recovery.

<< Continued

In Words

R. Mark Woodworth

Senior managing director, CBRE Hotels’ Americas Research

“Given the encouraging signsconcerning the domestic economy,continued increases in lodgingdemand and the measured growthin supply, [hotel] occupancy levelsare expected to remain at their peakin the years ahead.”Elizabeth Szep

Analytics manager, Real Capital Analytics

“There are winners and losers in themarket today, and sellers are notunder pressure to sell — especiallyif their asset may fetch a lower pricethan they expect.”

Hotel sector achieves
new peak in 2017

Commercial banks continued to hold the largest share
of commercial/multifamily mortgages this past third
quarter, at $1.3 trillion, or 40 percent of the total debt,
the Mortgage Bankers Association (MBA) reported.